DOE gives group 3 more mos. to look for oil in Visayan Basin

The Department of Energy (DOE) gave the consortium of service contract (SC) 69 three more months to explore for oil in the Visayan Basin. In a disclosure to the Philippine Stock Exchange Wednesday, Trans-Asia Oil and Energy Development Corp. said it requested that its exploration drilling be extended to Feb. 7, 2011. Trans-Asia, the oil and power development arm of the Phinma Group, has a 30-percent interest in SC 69. The rest is owned by NorAsian Energy, a subsidiary of Australia-based Otto Energy Ltd. Initial studies showed SC 69 has more than 20 structures that potentially contain oil and gas. The project is estimated at $11.2 million. The area is in offshore Central Visayas, surrounded by the islands of Cebu, Bohol, and Leyte. The department awarded the exploration contract in May 2008. —JE/VS, GMANews.TV